Correlation Between Bomesc Offshore and Shuhua Sports
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bomesc Offshore Engineering and Shuhua Sports Co, you can compare the effects of market volatilities on Bomesc Offshore and Shuhua Sports and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Bomesc Offshore with a short position of Shuhua Sports. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bomesc Offshore and Shuhua Sports.
Diversification Opportunities for Bomesc Offshore and Shuhua Sports
0.96 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Bomesc and Shuhua is 0.96. Overlapping area represents the amount of risk that can be diversified away by holding Bomesc Offshore Engineering and Shuhua Sports Co in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Shuhua Sports and Bomesc Offshore is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Bomesc Offshore Engineering are associated (or correlated) with Shuhua Sports. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Shuhua Sports has no effect on the direction of Bomesc Offshore i.e., Bomesc Offshore and Shuhua Sports go up and down completely randomly.
Pair Corralation between Bomesc Offshore and Shuhua Sports
Assuming the 90 days trading horizon Bomesc Offshore Engineering is expected to generate 0.91 times more return on investment than Shuhua Sports. However, Bomesc Offshore Engineering is 1.1 times less risky than Shuhua Sports. It trades about 0.07 of its potential returns per unit of risk. Shuhua Sports Co is currently generating about 0.05 per unit of risk. If you would invest 1,190 in Bomesc Offshore Engineering on August 28, 2024 and sell it today you would earn a total of 28.00 from holding Bomesc Offshore Engineering or generate 2.35% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bomesc Offshore Engineering vs. Shuhua Sports Co
Performance |
| Timeline |
| Bomesc Offshore Engi |
| Shuhua Sports |
Bomesc Offshore and Shuhua Sports Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bomesc Offshore and Shuhua Sports
The main advantage of trading using opposite Bomesc Offshore and Shuhua Sports positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bomesc Offshore position performs unexpectedly, Shuhua Sports can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Shuhua Sports will offset losses from the drop in Shuhua Sports' long position.| Bomesc Offshore vs. Zhejiang Kingland Pipeline | Bomesc Offshore vs. Xiangyang Automobile Bearing | Bomesc Offshore vs. COL Digital Publishing | Bomesc Offshore vs. Suzhou Novoprotein Scientific |
| Shuhua Sports vs. Shenzhen MYS Environmental | Shuhua Sports vs. AVIC Fund Management | Shuhua Sports vs. Shenzhen Bingchuan Network | Shuhua Sports vs. Penghua Shenzhen Energy |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Other Complementary Tools
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios |